Electric Scooter and Motorcycle Market by Product (Scooter, Motorcycle), by Battery Type (SLA, Li-Ion), by Voltage (36 V, 48 V, 60 V), by Technology (Plug-in, Battery), by Geography (U.S., Canada, Germany, Netherlands, Belgium, France, Italy, U.K., Spain, Austria, Sweden, Denmark, China, Japan, India, South Korea, Indonesia, Malaysia, Singapore, Philippines, Thailand, Brazil, Mexico, Chile, Columbia, Saudi Arabia, U.A.E., Qatar, South Africa) – Global Market Size, Share, Development, Growth, and Demand Forecast, 2013–2025

Electric Scooter and Motorcycle Market Overview

The global electric scooter and motorcycle market size is expected to reach $13,864.0 million by 2025, growing at a CAGR of 7.3% during the forecast period. The tax concession on eco-friendly vehicles, growing environmental concern for carbon emission, and low maintenance cost of electric vehicle (EV) are the major factors driving the market growth. Also, encouragement by government regulatory bodies across several countries for the adoption of eco-friendly vehicles is providing favorable environment for the growth of the market.

GLOBAL ELECTRIC SCOOTER AND MOTORCYCLE MARKET, BY PRODUCT, '000 UNITS (2013-2025)

On the basis of product, the electric scooter and motorcycle market has been classified into motorcycle and scooter. In 2017, scooter category held larger market share in terms of volume. The availability of considerable number of electric scooter models, coupled with their low cost, is the major factor driving its market growth. However, the market for electric motorcycle is expected to witness higher growth during the forecast period.

The batteries used in electric scooters and motorcycles are sealed lead acid (SLA) and lithium-ion (Li-ion). In 2017, SLA-based electric scooters and motorcycles generated higher number of shipments as well as revenue in the electric scooter and motorcycle market; however, the market for Li-ion variant has been experiencing higher growth. The Li-ion batteries have higher density than SLA batteries, making them lighter and more efficient.

Based on technology, the electric scooter and motorcycle market is classified into plug-in and battery operated. Plug-in category is expected to be the most preferred electric two-wheelers during the forecast period. In addition, this category accounted for more than 95% share of the global shipments in 2017.

In terms of revenue, Asia-Pacific (APAC) held the largest market share, globally, with an astounding more than 90% share in 2017. China accounts the major share in electric scooter and motorcycle market in APAC, due to its high-paced urbanization and large population. Whereas, India is anticipated to be the fastest growing market in the region.

Electric Scooter and Motorcycle Market Dynamics

Drivers

Developing economies around the world, such as Brazil, Russia, China, and India are witnessing rapid urbanization. Among the developing economies, China and India have seen the highest growth in urbanization by numbers, owing to their large population. Over 57% of China’s population are city dwellers while in India, this number is around 33%. The urbanization is expected to occur at even faster rate in the coming years with the advancement in the living standards. With the rising population in urban areas, the urbanites will need means for personal transportation for short distance which is poised to cause an upsurge in the demand for the transportation, especially electric scooters and electric motorcycles.

Restraints

Electric scooter and motorcycle being deprived of lower operating performance as compared to the traditionally used scooter and motorcycle, is a barrier for the growth of the electric scooter and motorcycle market. With minimum power output and shorter distance coverage, currently the adoption of electric two-wheelers is at the nascent stage in many countries. Further, the high cost associated with battery also increases the upfront cost of these vehicles, which restricts their sales growth to some extent.

Opportunities

One of the major opportunities that can be viewed for the electric scooter and motorcycle market is food and beverage delivery sector. With the huge number of food and beverage outlets opening at a rapid scale across the globe and rising demand for delivery options, electric scooters and motorcycles have ample opportunities to replace the traditional delivery vehicles, owing to their characteristics such as cost effectiveness, low maintenance, and environment friendly. Generally, to deliver food and beverage products, the outlets require vehicles with a shorter distance range as the orders are mostly placed from nearby residents. The adoption of electric scooters and motorcycles would benefit the providers such as increase in the number of delivery vehicles as they are cheap as compared to conventional scooters, and reduction in the cost incurred on food and beverage delivery. Moreover, the maintenance and servicing costs spent on the fuel-based motor vehicles can also be saved.

Further, the solar powered and automated charging stations create a huge opportunity for the growth of the electric scooter and motorcycle market. EV providers have ample opportunities to put forward their arms in the design and development of such charging stations to widen the horizons of EV-based transportation.

Electric Scooter and Motorcycle Market Competitive Landscape

The global electric scooter and motorcycle market is highly fragmented, where top five players accounted for less than 35% revenue. All of the five major players, Yadea Technology Group Co. Ltd., Zhejiang Luyuan Electric Vehicle Co. Ltd., AIMA Technology Co. Ltd., Jiangsu Xinri E-Vehicle Co. Ltd., and Dongguan Tailing Electric Vehicle Co. Ltd. are based in China. The other players who have good regional presence include GOVECS AG, Ampere Vehicles Pvt. Ltd., Vmoto Limited, Hero Electric Vehicles Pvt. Ltd., Energica Motor Company S.p.A., BMW AG, and Mahindra GenZe.